Banks constantly adjust their fixed rates to match their wholesale funding costs on the money market. Long term rates tend to be more stable than shorter 1 year, 3 year or 5 year fixed rates, which tend to move up and down in response to short term movements in the money market. The number one bank for your fixed rate loan will vary depending on if your loan is a low doc or not, the amount you borrow and if you qualify for a professional package. Call us on 1300 889 743 and we can help you find out which lender is best for your situation.

Bergin

I was told by my friends that being loyal to your bank is not worth it most of the time. Why’s that?

Well that’s because that’s another situation where they can screw people over is when clients ask for a bigger discount. If you see what the bank is up to and you threaten to leave, they will look at your profile in their system. They have methods of predicting who will refinance and who won’t. So basically, if their system says that you’re loyal then they may refuse to give you better pricing. Even if they agree, you may get an additional discount of just 0.05% to 0.20%.